MORRISONS has announced that around 1300 workers at McColl’s are at risk of redundancy as part of proposals to shut 132 loss-making stores.

The supermarket giant sealed a deal to buy its troubled rival for £190 million in a rescue deal in May.

On Tuesday, Morrisons unveiled plans to overhaul the convenience retailer after competition regulators said last week that they were set to clear the takeover.

Morrisons said it expects some McColl’s stores to return to profitability as part of its turnaround plans but highlighted that there are “132 stores where there is no realistic prospect of achieving a breakeven position in the medium term”.

Bradford-based Morrisons, which itself was bought in a £7 billion deal last year, said all 1,300 workers at risk from the closure plans will be offered roles elsewhere in the company.

Joseph Sutton, Morrisons convenience, online and wholesale director, said: “We have a great deal of work to do but there’s no question that McColl’s is a business with strong potential.

“I’m confident that the combination of McColl’s conveniently located stores and great colleagues together with Morrisons scale, brand, systems and fresh food expertise will lead to a transformation of the business.

“We very much regret the proposed closure of 132 loss-making stores but it is, very sadly, an important step towards the regeneration of the business.

“I am confident that McColl’s can, in the Morrisons family, once again become a growing, thriving and vibrant convenience business serving local communities across the UK.